Arizona Real Estate License Practice Exam 2026 - Free Real Estate Practice Questions and Study Guide

The lead-based paint disclosure process is crucial for properties built prior to 1978, as these are likely to contain lead-based paint, which poses health risks, especially to children. A real estate agent should facilitate this disclosure before the buyer signs the sales contract. This timing is important because it ensures that the buyer is fully aware of the potential risks associated with lead-based paint before committing to the purchase. It allows the buyer to make an informed decision and provides them an opportunity to conduct further inspections or negotiations based on the information provided.

Facilitating the disclosure process at this stage ensures compliance with federal laws, which mandate that sellers and landlords provide potential buyers and tenants with this information in a timely manner. Addressing the disclosure earlier, rather than during the closing process or after an inspection, aligns with best practices in real estate transactions to protect both buyer and seller interests.

In contrast, addressing the disclosure during closing or after inspections could lead to unnecessary complications, as the buyer may have already formed a commitment without being fully informed about potential lead hazards. Similarly, waiting until listing the property may not sufficiently meet the legal requirement to inform potential buyers early in the negotiation process.